8 grocery stores in California are among the best in the US, new study says. Which ones?

A California-based supermarket chain with a cult following is one of the top 10 grocery stores in the nation, according to a new study.

Trader Joe’s made “significant gains” to improve its rankings in the latest Dunnhumby Retailer Preference Index for U.S. Grocery, an annual study that examines the country’s grocery market.

“Saving customers money — through price, promotions, and rewards — is the most important predictor for retailers to have stronger, long-term market success in the United States,” the study said.

Trader Joe’s jumped to No. 7 on the list in 2024, compared to No. 15 the previous year.

The study attributed this leap to the Monrovia-based company being “ahead of the market on quality” while offering average savings.

What are the best grocery stores in California?

Trader Joe’s wasn’t the only grocery store chain with locations in California to perform well in the Retailer Preference Index.

Costco, a members-only warehouse chain that’s perennially popular with California shoppers, was No. 3 in the Retailer Preference Index.

WinCo Foods came in fourth place in the rankings and Aldi was fifth.

Amazon Fresh, which recently expanded in the Sacramento area, was No. 6 on the list.

Walmart and its sister chain, Walmart Neighborhood Market, narrowly missed the top 10, ranking at No. 11 and No. 12, respectively.

Kroger, which owns Food 4 Less, Foods Co. and Ralphs stores in California, landed near the bottom of the Retailer Preference Index rankings at No. 17.

What are the top supermarket chains in US?

Here are the top 18 grocery store companies in the Retailer Preference Index, and how their rankings changed in 2024:

1. H-E-B: No change from 2023
2. Market Basket: Up two places from 2023
3. Costco Wholesale: No change from 2023
4. WinCo Foods: Up 10 spots from 2023
5. Aldi: Up two from 2023
6. Amazon (Amazon Fresh): Down four places from 2023
7. Trader Joe’s: Up eight from 2023
8. Sam’s Club: Down three from 2023
9. Wegmans: Down three from 2023
10. ShopRite: Down two from 2023
11. Walmart: Down one from 2023
12. Walmart Neighborhood Market: Down three from 2023
13. Publix: Down two from 2023
14. Meijer: Down four from 2023
15. BJ’s Wholesale Club: Up two from 2023
16. Lidl: Up 14 from 2023
17. Kroger: Down two from 2023
18. Hannaford: Up five from 2023

How are supermarkets ranked?

The Retailer Preference Index, which includes financial analysis and a survey of 11,000 consumers, rates companies based on five “pillars.”

They are:

• Price, promotion and rewards: Including base prices, promotions, loyalty and private brands
• Quality: Including natural/organic/local/sustainable options, customer service, store cleanliness and ambiance
• Digital: Online shopping, shopping app, tech-enabled experiences
• Speed and convenience: Speed to shop, speed to checkout, location
• Operations: Out-of-stocks, accurate and consistent prices, consistent experience

According to the study, the price, promotion and rewards pillar is most associated with stronger, long-term market success for a given retailer.

This story was originally published January 27, 2025 at 10:31 AM.

Sarah Linn

The Tribune

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Sarah Linn is an editor and reporter on the West Service Journalism Team, working with journalists in Sacramento, Modesto, Fresno, Merced and San Luis Obispo in California and Bellingham, Olympia and Tri-Cities in Washington, as well as Boise, Idaho. She previously served as the Local/Entertainment Editor of The Tribune in San Luis Obispo, working there for nearly two decades. A graduate of Oregon State University, she has earned multiple California journalism awards.